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Bower Company manufactures a product in a factory that has two producing departments, Cutting and Stitching, and two support departments, D1 and D2. The activity driver for D1 is the number of employees, and the activity driver for D2 is the number of machine hours. The following data pertain to Bower:

	Support Departments			Producing Departments
	D1	D2		Cutting	Stitching
Direct costs	$210,000	$165,000		$130,000	$78,500
Normal activity:
Number of employees	-	40		80	170
Machine hours	800	-		15,000	5,000

Required:

A. Calculate the cost assignment ratios to be used under the direct method for D1 and D2. Round your answers to two decimal places.

	D1	D2
Cutting	fill in the blank 1	fill in the blank 2
Stitching	fill in the blank 3	fill in the blank 4

B. Allocate the support department costs to the producing departments by using the direct method. If an amount box does not require an entry, leave it blank or enter "0". Enter all amounts as positive numbers.

Support Departments

Producing Departments

D1

D2

Cutting

Stitching

Direct costs

$210,000

$165,000

$130,000

$78,500

Allocate D1

fill in the blank 5

fill in the blank 6

fill in the blank 7

fill in the blank 8

Allocate D2

fill in the blank 9

fill in the blank 10

fill in the blank 11

fill in the blank 12

Total

$fill in the blank 13

$fill in the blank 14

$fill in the blank 15

$fill in the blank 16